The Mt Marion lithium project is located approximately 40 km southwest of Kalgoorlie, Western Australia and is jointly owned by Neometals (26.9%), Mineral Resources Ltd (30%) and one of China’s largest lithium producers Jiangxi Ganfeng Lithium Co (43.1%).

Construction commenced in the Dec quarter of last year and commissioning is scheduled for mid-2016. Mineral Resources is funding and operates the project from mine to port. The mine has a current JORC-compliant resource of 23.24 Mt @ 1.39% Li2O in six deposits all open along strike and at depth. The ore is fresh from surface and visually distinguishable (white).

Neometals and Mineral Resources initially signed a farm-in agreement in October 2009 which saw Neometals retain 100% ownership of the project while Mineral Resources would fund all development costs and build, own and operate the processing facilities in order to earn a 40% share of net profit.

In February 2011 this agreement was amended so that instead of Mineral Resources having a right to 40% profit from sales, it now has a direct 30% ownership of the project.

In September 2015, an agreement was executed between Neometals, Mineral Resources and Jiangxi Ganfeng Lithium which resulted in Ganfeng taking a stake in the Mt Marion mine and also agreeing to a life-of-mine offtake agreement.